SBI Mutual Fund has introduced ‘Gold Accumulation Facility’ in its open ended SBI Gold Fund. The facility enables investors to buy pre-specified units of gold irrespective of SIP amount. Earlier, the investors could invest in gold units only by the value of SIP amount and not by its quantity. However, the gold accumulation facility has allowed them to invest directly on the basis of quantity of gold via the same SIP or STP routes. The SIP in this scheme will be dynamic every month/quarter as it is based on the prevailing market price of gold.
The amount of SIP/STP will be calculated on the basis of the NAV of SBI Gold Exchange Traded Scheme and the number of units as specified by investor. The amount will be debited from investors’ bank account (for SIP) or will be transferred for source scheme (for STP) and will be invested into SBI Gold Fund at the applicable NAV on the transaction day. However, if the investor feels that the price of gold has become too high, they can send a ‘stop’ request.
Deepak Chatterjee, Managing Director & CEO, SBI MF said “With the Gold Accumulation Facility, SBI Gold Fund now offers one of the best investment opportunities to the investors. This is the best option for the investor who aspires for a specified quantity of gold to be accumulated over a fixed period.”
DP Singh, Executive Director and Chief Marketing Officer of SBI Mutual Fund said “we are the first mutual fund to launch this innovative facility. The idea has been generated by keeping in mind the aspiration of middle class people. Many people accumulate gold for their daughter’s marriage or some other purpose but investing a fixed amount could not enable them to reach their targeted due to volatility in market. This facility will enable them to accumulate adequate units of gold in systemized way.”
